U.S. Tariff Rate Hits 18.2%, Highest Since 1934, As Trump Ramps Up Trade War

President Trump’s sweeping 2025 tariff campaign has lifted the average U.S. import tax rate to 18.2%, the highest since 1934, according to the BBC. Monthly tariff revenues tripled to $28 billion by June, according to official data. While Trump says the goal is to fix trade imbalances and protect American industry, the Congressional Budget Office warned the tariffs would shrink long-term U.S. economic output and fail to offset the cost of new tax cuts. U.S. companies are footing the bill, and stockpiling ahead of tariff deadlines temporarily widened the trade deficit to a record $162 billion in March. Inflation is beginning to reflect higher import costs, particularly for appliances, electronics, and toys. Economists caution that structural U.S. spending habits, not foreign trade practices, are the main drivers of the deficit.